Reid Blocks Effort To Restore Massive Medicare Cuts Contained In $2.5 Trillion Government Health Care Bill

Thursday, 03 December 2009 15:45

NRSC Documents

WASHINGTON – In an important vote on the Senate floor this afternoon, U.S. Senate Democrat Leader Harry Reid (D-NV) voted to block an effort by Republicans to restore roughly $450 billion in Medicare cuts contained in the bill to help pay for its massive $2.5 trillion price tag.  Notably, Reid defended these cuts despite decrying a fraction of these cuts as “immoral” just four years ago when the Senate was under Republican control.

“Harry Reid had a clear choice today – to protect Medicare and health care benefits for Nevada seniors, or to take money away from hospitals, hospices, and Medicare to create a new multi-trillion-dollar Washington program. By helping to defeat the McCain amendment he chose the latter path forward,” said National Republican Senatorial Committee (NRSC) spokesman Brian Walsh.

“These massive cuts to Medicare pushed by Senator Reid will have a drastic and dramatic effect on Nevada seniors who have paid into the Medicare program and expect the program to be there to care for their health needs,” Walsh continued. “As he faces low approval ratings and an uphill re-election bid at home next year, Harry Reid can be sure that his vote today will be a key issue in the 2010 election.”

The amendment defeated by Reid and Senate Democrats today was offered by U.S. Sen. John McCain (R-AZ) and would have required the Senate to send the bill, H.R. 3590, back to the Senate Committee on Finance with instructions to remove language that cuts approximately $450 billion from Medicare.

These cuts include $120 billion for Medicare Advantage and around $200 billion in permanent cuts to all Medicare provider payment updates including hospitals, hospice, home health and nursing homes.

Background Information:

· Examples of Medicare Cuts in Reid’s Government-Run Health Care Bill:

o Medicare Advantage program is cut by $120 billion;

o Hospital is cut by $135 billion;

o Home Health is cut by over $42 billion;

o Nursing Home is cut by $14.6 billion; and

o Hospice care is cut by $7.6 billion,

· The proposed legislation permanently cuts all annual Medicare provider payment updates by at least $150 billion over the next 10 years. The chief actuary for the Centers for Medicare and Medicaid Services (CMS) believes these cuts could cause providers (e.g. hospitals, home health agencies and hospices) to end their participation in Medicare, threatening access to care as providers find it more financially difficult to care for Medicare beneficiaries.

· Cutting the Medicare Advantage program will limit plan choices and reduce benefits for almost 11 million seniors enrolled in Medicare Advantage program. The Congressional Budget Office (CBO) confirms that the Reid legislation will cut benefits on average by about 64 percent over the next 10 years – from $135 to $49 a month for Medicare Advantage beneficiaries.

WHAT’S CHANGED SENATOR REID?

HARRY REID IN 2005: “Unfortunately, The Republican Budget Is An Immoral Document. … Let's Look At What Is In The Bill Before Us. The Budget Increases Burdens On America's Seniors By Increasing Medicare Premiums, And We Have Not Seen What The House Is Going To Give Us. It Cuts Health Care, Both Medicare And Medicaid, By A Total Of $27 Billion.” (Sen. Reid, Congressional Record, S.12286, 11/3/05)

HARRY REID TODAY: “It Will Save Medicare.” (Sen. Reid, Floor Remarks, 12/1/09)